The US banned oil exports for several decades. The ban was repealed in 2015. That probably helped increase US oil production (it has already risen a lot in 5 years but has risen more since 2015) but it also meant that other countries can bid for US oil. When there is a major supply shock like Russia invading Ukraine, then US oil prices will track international loss of supply instead of being somewhat independent.
I do not intent to speak for Allison but the way i read: "there is a lot of pressure on prices right now that has zero to do with reducing fracking or cancelling the Key Stone pipeline." is this - there are many forces that determine the price of (oil) commodities - those are taking center stage right now; reduced fracking and cancelling the Key Stone are very much factors, but not as much as all of the Current other factors.
My $.02 - supply eventually follows price; demand responses inversely.
The US banned oil exports for several decades. The ban was repealed in 2015. That probably helped increase US oil production (it has already risen a lot in 5 years but has risen more since 2015) but it also meant that other countries can bid for US oil. When there is a major supply shock like Russia invading Ukraine, then US oil prices will track international loss of supply instead of being somewhat independent.
Canceling Keystone pipeline and stopping fracking had no affect on the oil market? Please explain.
I do not intent to speak for Allison but the way i read: "there is a lot of pressure on prices right now that has zero to do with reducing fracking or cancelling the Key Stone pipeline." is this - there are many forces that determine the price of (oil) commodities - those are taking center stage right now; reduced fracking and cancelling the Key Stone are very much factors, but not as much as all of the Current other factors.
My $.02 - supply eventually follows price; demand responses inversely.